Full Text
REGISTERED NO. DL-(N)04/0007/2003-24
The Gazette of India
CG-DL-E-16022024-252143
EXTRAORDINARY
PART II - Section 1
PUBLISHED BY AUTHORITY
No. 8]
NEW DELHI, THURSDAY, FEBRUARY 15, 2024/MAGHA 26, 1945 (SAKA)
Separate paging is given to this Part in order that it may be filed as a separate compilation.
MINISTRY OF LAW AND JUSTICE
(Legislative Department)
New Delhi, the 15th February, 2024/Magha 26, 1945 (Saka)
The following Act of Parliament received the assent of the President on the
15th February, 2024 and is hereby published for general information:-
THE FINANCE ACT, 2024
No. 8 OF 2024
[15th February, 2024.]
An Act to continue the existing rates of income-tax for the financial year
2024-2025 and to provide for certain relief to taxpayers and to make
amendments in certain enactments.
BE it enacted by Parliament in the Seventy-fifth Year of the Republic of India as
follows:-
CHAPTER I
PRELIMINARY
1. (1) This Act may be called the Finance Act, 2024.
Short title and
commencement.
(2) Save as otherwise provided in this Act,—
(a) sections 2 to 10 shall come into force on the 1st day of April, 2024;
(b) sections 11 to 13 shall come into force on such date as the Central Government
may, by notification in the Official Gazette, appoint.
Income-tax.
CHAPTER II
RATES OF INCOME-TAX
2. The provisions of section 2 of, and the First Schedule to, the Finance
Act, 2023, shall apply in relation to income-tax for the assessment year or, as the
case may be, the financial year commencing on the 1st day of April, 2024, as they
apply in relation to income-tax for the assessment year or, as the case may be, the
financial year commencing on the 1st day of April, 2023, with the following
modifications, namely:—
8 of 2023.
(a) in section 2,—
(i) in sub-section (1), for the figures “2023”, the figures “2024" shall
be substituted;
(ii) for sub-section (2), the following sub-section shall be substituted,
namely:-
'(2) In the cases to which Paragraph A of Part I of the First
Schedule applies, or in the cases where income is chargeable to tax
under sub-section (1A) of section 115BAC of the Income-tax
Act, 1961 (hereinafter referred to as the Income-tax Act), and where
the assessee has, in the previous year, any net agricultural income
exceeding five thousand rupees, in addition to total income, and the
total income exceeds two lakh fifty thousand rupees, then,—
43 of 1961.
(a) the net agricultural income shall be taken into account,
in the manner provided in clause (b) (that is to say, as if the net
agricultural income were comprised in the total income after the
first two lakh fifty thousand rupees of the total income but
without being liable to tax), only for the purpose of charging
income-tax in respect of the total income; and
(b) the income-tax chargeable shall be computed as follows:-
(i) the total income and the net agricultural income shall be
aggregated and the amount of income-tax shall be determined
in respect of the aggregate income at the rates specified in the
said Paragraph A or sub-section (1A) of section 115BAC, as if
such aggregate income were the total income;
(ii) the net agricultural income shall be increased by a
sum of two lakh fifty thousand rupees, and the amount of
income-tax shall be determined in respect of the net
agricultural income as so increased at the rates specified in the
said Paragraph A or sub-section (1A) of section 115BAC, as if
the net agricultural income as so increased were the total
income;
(iii) the amount of income-tax determined in
accordance with sub-clause (i) shall be reduced by the
amount of income-tax determined in accordance with
sub-clause (ii) and the sum so arrived at shall be the
income-tax in respect of the total income:
Provided that in the case of every individual, being a resident
in India, who is of the age of sixty years or more but less than eighty
years at any time during the previous year, referred to in item (II) of
Paragraph A of Part I of the First Schedule, the provisions of this
sub-section shall have effect as if for the words “two lakh fifty
thousand rupees", the words "three lakh rupees" had been
substituted:
Provided further that in the case of every individual, being
a resident in India, who is of the age of eighty years or more at
any time during the previous year, referred to in item (III) of
Paragraph A of Part I of the First Schedule, the provisions of this
sub-section shall have effect as if for the words "two lakh fifty
thousand rupees", the words “five lakh rupees" had been
substituted:
Provided also that in the cases where income is chargeable
to tax under sub-section (1A) of section 115BAC of the
Income-tax Act, the provisions of this sub-section shall have
effect as if for the words “two lakh fifty thousand rupees", the
words "three lakh rupees" had been substituted.';
(iii) for sub-section (3), the following sub-section shall be substituted,
namely:-
"(3) In cases to which the provisions of Chapter XII or
Chapter XII-A or section 115JB or section 115JC or Chapter XII-FA
or Chapter XII-FB or sub-section (1A) of section 161 or section 164
or section 164A or section 167B of the Income-tax Act apply, the tax
chargeable shall be determined as provided in that Chapter or that
section, and with reference to the rates imposed by sub-section (1) or
the rates as specified in that Chapter or section, as the case may be:
Provided that the amount of income-tax computed in accordance
with the provisions of section 111A or section 112 or section 112A
of the Income-tax Act shall be increased by a surcharge, for the
purposes of the Union, as provided in Paragraph A, B, C, D or E, as
the case may be, of Part I of the First Schedule, except in case of a
domestic company whose income is chargeable to tax under
section 115BAA or section 115BAB of the Income-tax Act or in case
of an individual or Hindu undivided family or association of persons,
or body of individuals, whether incorporated or not, or an artificial
juridical person referred to in sub-clause (vii) of clause (31) of
section 2 of the Income-tax Act whose income is chargeable to tax
under sub-section (1A) of section 115BAC of the Income-tax Act, or
in case of co-operative society resident in India, whose income is
chargeable to tax under section 115BAD or under section 115BAE
of the Income-tax Act:
Provided further that in respect of any income chargeable to tax
under section 115A, 115AB, 115AC, 115ACA, 115AD, 115B,
115BA, 115BB, 115BBA, 115BBC, 115BBF, 115BBG, 115BBH,
115BBI, 115BBJ, 115E, 115JB or 115JC of the Income-tax Act, the
amount of income-tax computed under this sub-section shall be
increased by a surcharge, for the purposes of the Union,
calculated,-
(a) in the case of every individual or Hindu undivided family
or association of persons except in a case of an association of
persons consisting of only companies as its members, or body of
individuals, whether incorporated or not, or every artificial
juridical person referred to in sub-clause (vii) of clause (31) of
section 2 of the Income-tax Act, not having any income under
section 115AD of the Income-tax Act, and not having any
income chargeable to tax under sub-section (1A) of
section 115BAC of the Income-tax Act,—
(i) having a total income exceeding fifty lakh rupees but
not exceeding one crore rupees, at the rate of ten per cent.
of such income-tax;
(ii) having a total income exceeding one crore rupees,
but not exceeding two crore rupees, at the rate of fifteen
per cent. of such income-tax;
(iii) having a total income exceeding two crore rupees,
but not exceeding five crore rupees, at the rate of
twenty-five per cent. of such income-tax; and
(iv) having a total income exceeding five crore rupees,
at the rate of thirty-seven per cent. of such income-tax;
(b) in the case of every individual or association of persons,
except in a case of an association of persons consisting of only
companies as its members or body of individuals, whether
incorporated or not, or every artificial juridical person referred
to in sub-clause (vii) of clause (31) of section 2 of the Income-tax
Act, having income under section 115AD of the Income-tax Act,
and not having any income chargeable to tax under sub-section (14)
of section 115BAC of the Income-tax Act, -
(i) having a total income exceeding fifty lakh rupees but
not exceeding one crore rupees, at the rate of ten per cent.
of such income-tax;
(ii) having a total income exceeding one crore rupees,
but not exceeding two crore rupees, at the rate of fifteen
per cent. of such income-tax;
(iii) having a total income [excluding the income by way
of dividend or income of the nature referred to in clause (b) of
sub-section (1) of section 115AD of the Income-tax Act]
exceeding two crore rupees but not exceeding five crore
rupees, at the rate of twenty-five per cent. of such income-tax;
(iv) having a total income [excluding the income by way
of dividend or income of the nature referred to in clause (b)
of sub-section (1) of section 115AD of the Income-tax Act]
exceeding five crore rupees, at the rate of thirty-seven
per cent. of such income-tax; and
(v) having a total income [including the income by way
of dividend or income of the nature referred to in clause (b)
of sub-section (1) of section 115AD of the Income-tax Act]
exceeding two crore rupees, but is not covered in
sub-clauses (iii) and (iv), at the rate of fifteen per cent. of
such income-tax:
Provided that in case where the total income includes any
income by way of dividend or income chargeable under clause (b)
of sub-section (1) of section 115AD of the Income-tax Act, the
rate of surcharge on the income-tax calculated on that part of
income shall not exceed fifteen per cent.:
Provided further that where the total income of a person,
being a specified fund referred to in clause (c) of the Explanation
to clause (4D) of section 10 of the Income-tax Act, includes any
income under clause (a) of sub-section (1) of section 115AD
of the Income-tax Act, the income-tax calculated on that part of
income shall not be increased by any surcharge;
(c) in the case of an association of persons consisting of only
companies as its members,-
(i) at the rate of ten per cent. of such income-tax, where
the total income exceeds fifty lakh rupees but does not
exceed one crore rupees;
(ii) at the rate of fifteen per cent. of such income-tax,
where the total income exceeds one crore rupees;
(d) in the case of every co-operative society except a
co-operative society whose income is chargeable to tax under
section 115BAD or section 115BAE of the Income-tax Act, —
(i) at the rate of seven per cent. of such income-tax,
where the total income exceeds one crore rupees but does
not exceed ten crore rupees;
(ii) at the rate of twelve per cent. of such income-tax,
where the total income exceeds ten crore rupees;
(e) in the case of every firm or local authority, at the rate of
twelve per cent. of such income-tax, where the total income
exceeds one crore rupees;
(f) in the case of every domestic company except such
domestic company whose income is chargeable to tax under
section 115BAA or section 115BAB of the Income-tax Act,-
(i) at the rate of seven per cent. of such income-tax,
where the total income exceeds one crore rupees but does
not exceed ten crore rupees;
(ii) at the rate of twelve per cent. of such income-tax,
where the total income exceeds ten crore rupees;
(g) in the case of every company, other than a domestic
company,一
(i) at the rate of two per cent. of such income-tax, where
the total income exceeds one crore rupees but does not
exceed ten crore rupees;
(ii) at the rate of five per cent. of such income-tax,
where the total income exceeds ten crore rupees:
Provided also that in the case of persons mentioned in (a) and
(b) above, having total income chargeable to tax under section 115JC
of the Income-tax Act, and such income exceeds,-
(i) fifty lakh rupees but does not exceed one crore rupees,
the total amount payable as income-tax and surcharge thereon
shall not exceed the total amount payable as income-tax on a
total income of fifty lakh rupees by more than the amount of
income that exceeds fifty lakh rupees;
(ii) one crore rupees but does not exceed two crore rupees,
the total amount payable as income-tax and surcharge thereon
shall not exceed the total amount payable as income-tax and
surcharge on a total income of one crore rupees by more than the
amount of income that exceeds one crore rupees;
(iii) two crore rupees but does not exceed five crore rupees,
the total amount payable as income-tax and surcharge thereon
shall not exceed the total amount payable as income-tax and
surcharge on a total income of two crore rupees by more than the
amount of income that exceeds two crore rupees;
(iv) five crore rupees, the total amount payable as income-tax
and surcharge thereon shall not exceed the total amount payable
as income-tax and surcharge on a total income of five crore
rupees by more than the amount of income that exceeds five
crore rupees:
Provided also that in the case of association of persons
mentioned in (c) above, having total income chargeable to tax under
section 115JC of the Income-tax Act exceeds,—
(i) fifty lakh rupees but does not exceed one crore rupees,
the total amount payable as income-tax on such income and
surcharge thereon shall not exceed the total amount payable
as income-tax on a total income of fifty lakh rupees by more than
the amount of income that exceeds fifty lakh rupees;
(ii) one crore rupees, the total amount payable as income-tax
and surcharge thereon shall not exceed the total amount payable
as income-tax and surcharge on a total income of one crore
rupees by more than the amount of income that exceeds one
crore rupees:
Provided also that in the case of a co-operative society
mentioned in (d) above, having total income chargeable to tax under
section 115JC of the Income-tax Act, and such income exceeds,-
(i) one crore rupees but does not exceed ten crore rupees, the total
amount payable as income-tax and surcharge thereon shall not
exceed the total amount payable as income-tax on a total income of
one crore rupees by more than the amount of income that exceeds one
crore rupees;
(ii) ten crore rupees, the total amount payable as income-tax
and surcharge thereon shall not exceed the total amount payable as
income-tax and surcharge on a total income of ten crore rupees by
more than the amount of income that exceeds ten crore rupees:
Provided also that in the case of persons mentioned in (e) above,
having total income chargeable to tax under section 115JC of the
Income-tax Act, and such income exceeds one crore rupees, the total
amount payable as income-tax on such income and surcharge thereon
shall not exceed the total amount payable as income-tax on a total
income of one crore rupees by more than the amount of income that
exceeds one crore rupees:
Provided also that in the case of every company having total
income chargeable to tax under section 115JB of the Income-tax Act,
and such income exceeds one crore rupees but does not exceed ten
crore rupees, the total amount payable as income-tax on such income
and surcharge thereon, shall not exceed the total amount payable as
income-tax on a total income of one crore rupees by more than the
amount of income that exceeds one crore rupees:
Provided also that in the case of every company having total
income chargeable to tax under section 115JB of the Income-tax Act,
and such income exceeds ten crore rupees, the total amount payable
as income-tax on such income and surcharge thereon, shall not
exceed the total amount payable as income-tax and surcharge on a
total income of ten crore rupees by more than the amount of income
that exceeds ten crore rupees:
Provided also that in respect of any income chargeable to tax
under clause (i) of sub-section (1) of section 115BBE of the Income-tax
Act, the amount of income-tax computed under this sub-section shall be
increased by a surcharge, for the purposes of the Union, calculated at
the rate of twenty-five per cent. of such income-tax:
Provided also that in case of every domestic company whose
income is chargeable to tax under section 115BAA or section 115BAB
of the Income-tax Act, the income-tax computed under this sub-section
shall be increased by a surcharge, for the purposes of the Union,
calculated at the rate of ten per cent. of such income-tax:
Provided also that in respect of income chargeable to tax under
sub-section (1A) of section 115BAC of the Income-tax Act, the
income-tax computed under this sub-section shall be increased by a
surcharge, for the purposes of the Union, calculated, in the case of an
individual or Hindu undivided family or association of persons or body
of individuals, whether incorporated or not, or every artificial juridical
person referred to in sub-clause (vii) of clause (31) of section 2 of the
Income tax Act,-
(i) having a total income (including the income by way of dividend
or income under the provisions of section 111A, section 112 and
section 112A of the Income-tax Act) exceeding fifty lakh rupees but
not exceeding one crore rupees, at the rate of ten per cent. of such
income-tax;
(ii) having a total income (including the income by way of
dividend or income under the provisions of section 111A,
section 112 and section 112A of the Income-tax Act) exceeding
one crore rupees but not exceeding two crore rupees, at the rate
of fifteen per cent. of such income-tax;
(iii) having a total income (excluding the income by way of
dividend or income under the provisions of section 111A, section 112
and section 112A of the Income-tax Act) exceeding two crore
rupees, at the rate of twenty-five per cent. of such income-tax; and
(iv) having a total income (including the income by way of
dividend or income under the provisions of section 111A,
section 112 and section 112A of the Income-tax Act) exceeding
two crore rupees, but is not covered under clause (iii) above, at the
rate of fifteen per cent. of such income-tax:
Provided also that in case where the provisions of sub-section (14)
of section 115BAC are applicable and the total income includes any
income by way of dividend or income chargeable under section 111A,
section 112 and section 112A of the Income-tax Act, the rate of
surcharge on the income-tax in respect of that part of income shall not
exceed fifteen per cent.:
Provided also that in the case of a specified fund, referred to in
clause (c) of the Explanation to clause (4D) of section 10 of the
Income-tax Act, whose income is chargeable to tax under sub-section (14)
of section 115BAC and where such income includes any income
under clause (a) of sub-section (1) of section 115AD of the
Income-tax Act, the income-tax computed on that part of income
shall not be increased by any surcharge:
Provided also that in case of an association of persons consisting
of only companies as its members, and having its income chargeable
to tax under sub-section (1A) of section 115BAC, the rate of
surcharge on the income-tax shall not exceed fifteen per cent.:
Provided also that in case of every individual or Hindu undivided
family or association of persons, or body of individuals, whether
incorporated or not, or every artificial juridical person referred to in
sub-clause (vii) of clause (31) of section 2 of the Income-tax Act,
having total income chargeable to tax under sub-section (1A) of
section 115BAC of the Income-tax Act, and such income exceeds, -
(i) fifty lakh rupees but does not exceed one crore rupees,
the total amount payable as income-tax on such income and
surcharge thereon shall not exceed the total amount payable
as income-tax on a total income of fifty lakh rupees by more than
the amount of income that exceeds fifty lakh rupees;
(ii) one crore rupees but does not exceed two crore rupees,
the total amount payable as income-tax on such income and
surcharge thereon shall not exceed the total amount payable as
income-tax and surcharge on a total income of one crore rupees
by more than the amount of income that exceeds one crore
rupees;
(iii) two crore rupees, the total amount payable as income-tax
on such income and surcharge thereon shall not exceed the total
amount payable as income-tax and surcharge on a total income
of two crore rupees by more than the amount of income that
exceeds two crore rupees:
Provided also that in case of every co-operative society resident
in India, whose income is chargeable to tax under section 115BAD
or section 115BAE of the Income-tax Act, the income-tax computed
under this sub-section shall be increased by a surcharge, for the
purposes of the Union, calculated at the rate of ten per cent. of such
income-tax.";
(iv) in sub-section (9),—
(A) in the second proviso, for the words “resident co-operative
society", the words “co-operative society resident in India" shall be
substituted;
(B) in the fourth proviso, clauses (a) to (d) shall be renumbered
as clauses (i) to (iv) thereof;
(C) in the fifth proviso, —
(1) in the opening portion, after the words “in the case of",
the words "association of” shall be inserted;
(II) clauses (a) and (b) shall be renumbered as clauses
and (ii) thereof;
(D) in the sixth proviso,—
(1) in the opening portion, for the word “persons", the words
"a co-operative society” shall be substituted;
(II) clauses (a) and (b) shall be renumbered as clauses (i)
and (ii) thereof;
(E) in the sixteenth proviso,—
(1) in the opening portion, after the words “chargeable to tax
under", the words, brackets, figure and letter “sub-section (14)`
of" shall be inserted;
(II) clauses (a) to (c) shall be renumbered as clauses (i)
to (iii) thereof;
(F) in the seventeenth proviso, for the words "resident
co-operative society", the words “co-operative society resident in
India" shall be substituted;
(v) in sub-section (10), —
(A) in the opening portion, for the portion beginning with the
words "or in case" and ending with the word "whose", the words
"or in cases where” shall be substituted;
(B) in the third proviso, for the portion beginning with the words
"in the case" and ending with the word “whose", the words “in the
cases where" shall be substituted;
(vi) in sub-section (13), in clause (a), for the figures "2023", the
figures "2024" shall be substituted;
(b) in the First Schedule,-
(i) for Part I and Part II, the following Parts shall be substituted,
namely:-
'PART I
INCOME-TAX
Paragraph A
(1) In the case of every individual other than the individual
referred to in items (II) and (III) of this Paragraph or Hindu undivided
family or association of persons or body of individuals, whether
incorporated or not, or every artificial juridical person referred to in
sub-clause (vii) of clause (31) of section 2 of the Income-tax Act, not
being a case to which any other Paragraph of this Part applies,—
Rates of income-tax
+------------------------------------------------------------------------+-------------------------------------------------------------------------+
| (1) where the total income does not exceed Rs. 2,50,000 | Nil; |
+------------------------------------------------------------------------+-------------------------------------------------------------------------+
| (2) where the total income exceeds Rs. 2,50,000 but does not exceed | 5 per cent. of the amount by which the total income exceeds |
| Rs. 5,00,000 | Rs. 2,50,000; |
+------------------------------------------------------------------------+-------------------------------------------------------------------------+
| (3) where the total income exceeds Rs. 5,00,000 but does not exceed | Rs.12,500 plus 20 per cent. of the amount by which the total income |
| Rs. 10,00,000 | exceeds Rs. 5,00,000; |
+------------------------------------------------------------------------+-------------------------------------------------------------------------+
| (4) where the total income exceeds Rs. 10,00,000 | Rs. 1,12,500 plus 30 per cent. of the amount by which the total income |
| | exceeds Rs. 10,00,000. |
+------------------------------------------------------------------------+-------------------------------------------------------------------------+
(II) In the case of every individual, being a resident in India,
who is of the age of sixty years or more but less than eighty years
at any time during the previous year,—
Rates of income-tax
+------------------------------------------------------------------------+-------------------------------------------------------------------------+
| (1) where the total income does not exceed Rs. 3,00,000 | Nil; |
+------------------------------------------------------------------------+-------------------------------------------------------------------------+
| (2) where the total income exceeds Rs. 3,00,000 but does not exceed | 5 per cent. of the amount by which the total income exceeds |
| Rs. 5,00,000 | Rs. 3,00,000; |
+------------------------------------------------------------------------+-------------------------------------------------------------------------+
| (3) where the total income exceeds Rs. 5,00,000 but does not exceed | Rs.10,000 plus 20 per cent. of the amount by which the total income |
| Rs. 10,00,000 | exceeds Rs. 5,00,000; |
+------------------------------------------------------------------------+-------------------------------------------------------------------------+
| (4) where the total income exceeds Rs. 10,00,000 | Rs. 1,10,000 plus 30 per cent. of the amount by which the total income |
| | exceeds Rs. 10,00,000. |
+------------------------------------------------------------------------+-------------------------------------------------------------------------+
(III) In the case of every individual, being a resident in India,
who is of the age of eighty years or more at any time during the
previous year,—
Rates of income-tax
+------------------------------------------------------------------------+-------------------------------------------------------------------------+
| (1) where the total income does not exceed Rs. 5,00,000 | Nil; |
+------------------------------------------------------------------------+-------------------------------------------------------------------------+
| (2) where the total income exceeds Rs. 5,00,000 but does not exceed | 20 per cent. of the amount by which the total income exceeds |
| Rs. 10,00,000 | Rs. 5,00,000; |
+------------------------------------------------------------------------+-------------------------------------------------------------------------+
| (3) where the total income exceeds Rs. 10,00,000 | Rs. 1,00,000 plus 30 per cent. of the amount by which the total income |
| | exceeds Rs. 10,00,000. |
+------------------------------------------------------------------------+-------------------------------------------------------------------------+
Surcharge on income-tax
The amount of income-tax computed in accordance with the
preceding provisions of this Paragraph, or the provisions of
section 111A or section 112 or section 112A of the Income-tax Act,
shall be increased by a surcharge for the purposes of the Union,
calculated, in the case of every individual or Hindu undivided family
or association of persons or body of individuals, whether
incorporated or not, or every artificial juridical person referred to in
sub-clause (vii) of clause (31) of section 2 of the Income-tax Act,—
(a) having a total income (including the income by way of
dividend or income under the provisions of section 111A,
section 112 and section 112A of the Income-tax Act) exceeding
fifty lakh rupees but not exceeding one crore rupees, at the rate
of ten per cent. of such income-tax;
(b) having a total income (including the income by way of
dividend or income under the provisions of section 111A,
section 112 and section 112A of the Income-tax Act) exceeding
one crore rupees, but not exceeding two crore rupees, at the rate
of fifteen per cent. of such income-tax;
(c) having a total income (excluding the income by way of
dividend or income under the provisions of section 111A,
section 112 and section 112A of the Income-tax Act) exceeding
two crore rupees but not exceeding five crore rupees, at the rate
of twenty-five per cent. of such income-tax;
(d) having a total income (excluding the income by way of
dividend or income under the provisions of section 111A,
section 112 and section 112A of the Income-tax Act) exceeding
five crore rupees, at the rate of thirty-seven per cent. of such
income-tax; and
(e) having a total income (including the income by way of
dividend or income under the provisions of section 111A,
section 112 and section 112A of the Income-tax Act) exceeding
two crore rupees but is not covered under clauses (c) and (d), at
the rate of fifteen per cent. of such income-tax:
Provided that in case where the total income includes any
income by way of dividend or income under the provisions of
section 111A, section 112 and section 112A of the Income-tax Act,
the rate of surcharge on the amount of income-tax computed in
respect of that part of income shall not exceed fifteen per cent.:
Provided further that in case of an association of persons
consisting of only companies as its members, the rate of surcharge
on the amount of income-tax shall not exceed fifteen per cent.:
Provided also that in the case of persons mentioned above having
total income exceeding,-
(a) fifty lakh rupees but not exceeding one crore rupees, the
total amount payable as income-tax and surcharge on such
income shall not exceed the total amount payable as income-tax
on a total income of fifty lakh rupees by more than the amount
of income that exceeds fifty lakh rupees;
(b) one crore rupees but does not exceed two crore rupees,
the total amount payable as income-tax and surcharge on such
income shall not exceed the total amount payable as income-tax
and surcharge on a total income of one crore rupees by more than
the amount of income that exceeds one crore rupees;
(c) two crore rupees but does not exceed five crore rupees,
the total amount payable as income-tax and surcharge on such
income shall not exceed the total amount payable as income-tax
and surcharge on a total income of two crore rupees by more
than the amount of income that exceeds two crore rupees;
(d) five crore rupees, the total amount payable as income-
tax and surcharge on such income shall not exceed the total
amount payable as income-tax and surcharge on a total income
of five crore rupees by more than the amount of income that
exceeds five crore rupees.
Paragraph B
In the case of every co-operative society,—
Rates of income-tax
+-----------------------------------------------------------------------+-----------------------------------------------------------------------+
| (1) where the total income does not exceed Rs.10,000 | 10 per cent. of the total income; |
+-----------------------------------------------------------------------+-----------------------------------------------------------------------+
| (2) where the total income exceeds Rs.10,000 but does not exceed | Rs. 1,000 plus 20 per cent. of the amount by which the total |
| Rs. 20,000 | income exceeds Rs.10,000; |
+-----------------------------------------------------------------------+-----------------------------------------------------------------------+
| (3) where the total income exceeds Rs. 20,000 | Rs. 3,000 plus 30 per cent. of the amount by which the total income |
| | exceeds Rs. 20,000. |
+-----------------------------------------------------------------------+-----------------------------------------------------------------------+
Surcharge on income-tax
The amount of income-tax computed in accordance with the
preceding provisions of this Paragraph, or the provisions of
section 111A or section 112 or section 112A of the Income-tax Act,
shall, be increased by a surcharge for the purposes of the Union,
calculated in the case of every co-operative society,—
(a) having a total income exceeding one crore rupees but not
exceeding ten crore rupees, at the rate of seven per cent. of such
income-tax;
(b) having a total income exceeding ten crore rupees, at the
rate of twelve per cent. of such income-tax:
Provided that in the case of every co-operative society having
total income exceeding one crore rupees but not exceeding ten crore
rupees, the total amount payable as income-tax and surcharge on
such income shall not exceed the total amount payable as income-tax
on a total income of one crore rupees by more than the amount of
income that exceeds one crore rupees:
Provided further that in the case of every co-operative society
having a total income exceeding ten crore rupees, the total amount
payable as income-tax and surcharge on such income shall not
exceed the total amount payable as income-tax and surcharge on a
total income of ten crore rupees by more than the amount of income
that exceeds ten crore rupees.
Paragraph C
In the case of every firm,-
Rate of income-tax
+-----------------------------------+--------------+
| On the whole of the total income | 30 per cent. |
+-----------------------------------+--------------+
Surcharge on income-tax
The amount of income-tax computed in accordance with the
preceding provisions of this Paragraph, or the provisions of
section 111A or section 112 or section 112A of the Income-tax Act,
shall, in the case of every firm, having a total income exceeding one
crore rupees, be increased by a surcharge for the purposes of the
Union calculated at the rate of twelve per cent. of such income-tax:
Provided that in the case of every firm mentioned above having
total income exceeding one crore rupees, the total amount payable as
income-tax and surcharge on such income shall not exceed the total
amount payable as income-tax on a total income of one crore rupees
by more than the amount of income that exceeds one crore rupees.
Paragraph D
In the case of every local authority,—
Rate of income-tax
+-----------------------------------+--------------+
| On the whole of the total income | 30 per cent. |
+-----------------------------------+--------------+
Surcharge on income-tax
The amount of income-tax computed in accordance with the
preceding provisions of this Paragraph, or the provisions of
section 111A or section 112 or section 112A of the Income-tax Act,
shall, in the case of every local authority, having a total income
exceeding one crore rupees, be increased by a surcharge for the
purposes of the Union calculated at the rate of twelve per cent. of
such income-tax:
Provided that in the case of every local authority mentioned
above having total income exceeding one crore rupees, the total
amount payable as income-tax and surcharge on such income shall
not exceed the total amount payable as income-tax on a total income
of one crore rupees by more than the amount of income that exceeds
one crore rupees.
Paragraph E
In the case of a company, -
Rates of income-tax
I. In the case of a domestic company,—
+----------------------------------------------------------------------------------------------------------+------------------------------------+
| (i) where its total turnover or the gross receipt in the previous year 2021-22 does not exceed four hundred | 25 per cent. of the total income; |
| crore rupees | |
+----------------------------------------------------------------------------------------------------------+------------------------------------+
| (ii) other than that referred to in item (i) | 30 per cent. of the total income. |
+----------------------------------------------------------------------------------------------------------+------------------------------------+
II. In the case of a company other than a domestic company,—
+---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------No. 8] NEW DELHI, THURSDAY, FEBRUARY 15, 2024/MAGHA 26, 1945 (SAKA)
Separate paging is given to this Part in order that it may be filed as a separate compilation.
MINISTRY OF LAW AND JUSTICE
(Legislative Department)
New Delhi, the 15th February, 2024/Magha 26, 1945 (Saka)
The following Act of Parliament received the assent of the President on the
15th February, 2024 and is hereby published for general information:-
THE FINANCE ACT, 2024
No. 8 OF 2024
[15th February, 2024.]
An Act to continue the existing rates of income-tax for the financial year
2024-2025 and to provide for certain relief to taxpayers and to make
amendments in certain enactments.
BE it enacted by Parliament in the Seventy-fifth Year of the Republic of India as
follows:-
CHAPTER I
PRELIMINARY
1. (1) This Act may be called the Finance Act, 2024.
Short title and
commencement.
(2) Save as otherwise provided in this Act,—
(a) sections 2 to 10 shall come into force on the 1st day of April, 2024;
(b) sections 11 to 13 shall come into force on such date as the Central Government
may, by notification in the Official Gazette, appoint.
Income-tax.
CHAPTER II
RATES OF INCOME-TAX
2. The provisions of section 2 of, and the First Schedule to, the Finance
Act, 2023, shall apply in relation to income-tax for the assessment year or, as the
case may be, the financial year commencing on the 1st day of April, 2024, as they
apply in relation to income-tax for the assessment year or, as the case may be, the
financial year commencing on the 1st day of April, 2023, with the following
modifications, namely:—
8 of 2023.
(a) in section 2,—
(i) in sub-section (1), for the figures “2023”, the figures “2024" shall
be substituted;
(ii) for sub-section (2), the following sub-section shall be substituted,
namely:-
'(2) In the cases to which Paragraph A of Part I of the First
Schedule applies, or in the cases where income is chargeable to tax
under sub-section (1A) of section 115BAC of the Income-tax
Act, 1961 (hereinafter referred to as the Income-tax Act), and where
the assessee has, in the previous year, any net agricultural income
exceeding five thousand rupees, in addition to total income, and the
total income exceeds two lakh fifty thousand rupees, then,—
43 of 1961.
(a) the net agricultural income shall be taken into account,
in the manner provided in clause (b) (that is to say, as if the net
agricultural income were comprised in the total income after the
first two lakh fifty thousand rupees of the total income but
without being liable to tax), only for the purpose of charging
income-tax in respect of the total income; and
(b) the income-tax chargeable shall be computed as follows:-
(i) the total income and the net agricultural income shall be
aggregated and the amount of income-tax shall be determined
in respect of the aggregate income at the rates specified in the
said Paragraph A or sub-section (1A) of section 115BAC, as if
such aggregate income were the total income;
(ii) the net agricultural income shall be increased by a
sum of two lakh fifty thousand rupees, and the amount of
income-tax shall be determined in respect of the net
agricultural income as so increased at the rates specified in the
said Paragraph A or sub-section (1A) of section 115BAC, as if
the net agricultural income as so increased were the total
income;
(iii) the amount of income-tax determined in
accordance with sub-clause (i) shall be reduced by the
amount of income-tax determined in accordance with
sub-clause (ii) and the sum so arrived at shall be the
income-tax in respect of the total income:
Provided that in the case of every individual, being a resident
in India, who is of the age of sixty years or more but less than eighty
years at any time during the previous year, referred to in item (II) of
Paragraph A of Part I of the First Schedule, the provisions of this
sub-section shall have effect as if for the words “two lakh fifty
thousand rupees", the words "three lakh rupees" had been
substituted:
Provided further that in the case of every individual, being
a resident in India, who is of the age of eighty years or more at
any time during the previous year, referred to in item (III) of
Paragraph A of Part I of the First Schedule, the provisions of this
sub-section shall have effect as if for the words "two lakh fifty
thousand rupees", the words “five lakh rupees" had been
substituted:
Provided also that in the cases where income is chargeable
to tax under sub-section (1A) of section 115BAC of the
Income-tax Act, the provisions of this sub-section shall have
effect as if for the words “two lakh fifty thousand rupees", the
words "three lakh rupees" had been substituted.';
(iii) for sub-section (3), the following sub-section shall be substituted,
namely:-
"(3) In cases to which the provisions of Chapter XII or
Chapter XII-A or section 115JB or section 115JC or Chapter XII-FA
or Chapter XII-FB or sub-section (1A) of section 161 or section 164
or section 164A or section 167B of the Income-tax Act apply, the tax
chargeable shall be determined as provided in that Chapter or that
section, and with reference to the rates imposed by sub-section (1) or
the rates as specified in that Chapter or section, as the case may be:
Provided that the amount of income-tax computed in accordance
with the provisions of section 111A or section 112 or section 112A
of the Income-tax Act shall be increased by a surcharge, for the
purposes of the Union, as provided in Paragraph A, B, C, D or E, as
the case may be, of Part I of the First Schedule, except in case of a
domestic company whose income is chargeable to tax under
section 115BAA or section 115BAB of the Income-tax Act or in case
of an individual or Hindu undivided family or association of persons,
or body of individuals, whether incorporated or not, or an artificial
juridical person referred to in sub-clause (vii) of clause (31) of
section 2 of the Income-tax Act whose income is chargeable to tax
under sub-section (1A) of section 115BAC of the Income-tax Act, or
in case of co-operative society resident in India, whose income is
chargeable to tax under section 115BAD or under section 115BAE
of the Income-tax Act:
Provided further that in respect of any income chargeable to tax
under section 115A, 115AB, 115AC, 115ACA, 115AD, 115B,
115BA, 115BB, 115BBA, 115BBC, 115BBF, 115BBG, 115BBH,
115BBI, 115BBJ, 115E, 115JB or 115JC of the Income-tax Act, the
amount of income-tax computed under this sub-section shall be
increased by a surcharge, for the purposes of the Union,
calculated,-
(a) in the case of every individual or Hindu undivided family
or association of persons except in a case of an association of
persons consisting of only companies as its members, or body of
individuals, whether incorporated or not, or every artificial
juridical person referred to in sub-clause (vii) of clause (31) of
section 2 of the Income-tax Act, not having any income under
section 115AD of the Income-tax Act, and not having any
income chargeable to tax under sub-section (1A) of
section 115BAC of the Income-tax Act,—
(i) having a total income exceeding fifty lakh rupees but
not exceeding one crore rupees, at the rate of ten per cent.
of such income-tax;
(ii) having a total income exceeding one crore rupees,
but not exceeding two crore rupees, at the rate of fifteen
per cent. of such income-tax;
(iii) having a total income exceeding two crore rupees,
but not exceeding five crore rupees, at the rate of
twenty-five per cent. of such income-tax; and
(iv) having a total income exceeding five crore rupees,
at the rate of thirty-seven per cent. of such income-tax;
(b) in the case of every individual or association of persons,
except in a case of an association of persons consisting of only
companies as its members or body of individuals, whether
incorporated or not, or every artificial juridical person referred
to in sub-clause (vii) of clause (31) of section 2 of the Income-tax
Act, having income under section 115AD of the Income-tax Act,
and not having any income chargeable to tax under sub-section (14)
of section 115BAC of the Income-tax Act, -
(i) having a total income exceeding fifty lakh rupees but
not exceeding one crore rupees, at the rate of ten per cent.
of such income-tax;
(ii) having a total income exceeding one crore rupees,
but not exceeding two crore rupees, at the rate of fifteen
per cent. of such income-tax;
(iii) having a total income [excluding the income by way
of dividend or income of the nature referred to in clause (b) of
sub-section (1) of section 115AD of the Income-tax Act]
exceeding two crore rupees but not exceeding five crore
rupees, at the rate of twenty-
Login to read full text